Bill Text: CA SB996 | 2009-2010 | Regular Session | Amended
Bill Title: Property tax: welfare exemptions: rental housing and
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-05-27 - Held in committee and under submission. [SB996 Detail]
Download: California-2009-SB996-Amended.html
BILL NUMBER: SB 996 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 12, 2010
AMENDED IN SENATE MARCH 25, 2010
INTRODUCED BY Senator Lowenthal
FEBRUARY 9, 2010
An act to amend Section 214.16 of the Revenue and Taxation Code,
relating to taxation.
LEGISLATIVE COUNSEL'S DIGEST
SB 996, as amended, Lowenthal. Property tax: welfare exemptions:
rental housing and related facilities: refund of tax.
Existing property tax law establishes a partial welfare exemption
for property used exclusively for rental housing and related
facilities that was previously purchased and owned by the Department
of Transportation, as specified, and that is now solely owned by an
organization that qualifies as an exempt organization. Existing law
requires any outstanding tax, interest, or penalty that was levied or
imposed upon property that qualifies for this partial welfare
exemption and that satisfies specified criteria between January 1,
2002, and January 1, 2009, to be canceled if the owner of the
property certifies that certain conditions were met at the time the
tax was levied.
This bill would require any ad valorem property tax,
interest, or penalty, that was levied or imposed upon property as
described above and that was paid, to be refunded , as provided.
This bill would require any ad valorem property tax, interest, or
penalty not refunded, as specified, to be used to pay any outstanding
special assessment, fee, or other charge, as provided .
This bill would make legislative findings and declarations
regarding the public purpose served by the bill.
By imposing new duties upon county tax officials with respect to
the refund of these property tax payments, this bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 214.16 of the Revenue and Taxation Code is
amended to read:
214.16. (a) Any ad valorem property tax, interest, or
penalty that was levied or imposed upon property that qualifies for
an exemption pursuant to Section 214 and satisfies the criteria
specified in subparagraph (D) of paragraph (1) of subdivision (g) of
Section 214 between January 1, 2002, and January 1, 2009, shall be
canceled or refunded , or, refunded in
accordance with subdivision (b) , provided that the owner of
the property certifies that all of the following conditions were met
at the time the tax was levied:
(1) The owner was not organized and did not operate for profit.
(2) There was a recorded deed restriction or other legal document
that restricted the project's usage and that provided that the units
designated for use by lower income households were continuously
available to or occupied by lower income households at rents not
exceeding those prescribed by Section 50053 of the Health and Safety
Code.
(3) The funds that would have been necessary to pay property taxes
were used to maintain the affordability of, or reduce rents
otherwise necessary for, the units occupied by lower income
households.
(b) (1) The refund required by subdivision (a) shall be an amount
equal to the difference between both of the following:
(A) The total amount of ad valorem property tax, interest, or
penalty payments paid, between January 1, 2002, and January 1, 2009,
for property that qualifies for an exemption as specified in
subdivision (a).
(B) The total amount of any outstanding special assessment, fee,
or other charge, required to be collected by the tax collector, that
was levied or imposed upon property that qualifies for an exemption
as specified in subdivision (a) between January 1, 2002, and January
1, 2009.
(2) Any ad valorem property tax, interest, or penalty not refunded
in accordance with paragraph (1), shall be used to pay any
outstanding special assessment, fee, or other charge required to be
collected by the tax collector, that was levied or imposed upon
property that qualifies for an exemption as specified in subdivision
(a) between January 1, 2002, and January 1, 2009.
(b)
(c) For purposes of this section, "lower income
households" has the same meaning as defined by Section 50079.5 of the
Health and Safety Code.
SEC. 2. The Legislature finds and declares that Section 1 of this
act fulfills a statewide public purpose because of both of the
following:
(a) It maintains the affordability of lower income housing that
fulfills the legal commitment entered into by the Department of
Transportation in a consent decree to replace affordable housing
stock lost as a result of the construction of the Century Freeway.
(b) It addresses California's serious shortage of affordable
decent, safe, and sanitary housing for persons and families of low or
moderate income, including the elderly and handicapped, by providing
necessary property tax relief for certain tax exempt organizations
so that these tax exempt organizations can provide this affordable
housing for persons and families of low or moderate income.
SEC. 3. If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.
